As midnight falls in Washington, Congress is bustling with activity over cryptocurrency legislation—a sign of how digital assets have become central to America’s financial debate. In a historic move, lawmakers are racing to define how the U.S. handles cryptocurrencies, stablecoins, and the future of digital money.

This summer, the House of Representatives declared a “Crypto Week” to consider sweeping new bills aimed at reshaping the regulatory landscape for digital assets. Three major pieces of legislation advanced: the CLARITY Act, the GENIUS Act, and the Anti-CBDC Surveillance State Act.

The GENIUS Act stands out as a landmark law creating federal standards for stablecoins—digital currencies pegged to assets like the U.S. dollar. Under this law, issuers of stablecoins must hold equivalent reserves, such as insured bank deposits and Treasury bills, to back every dollar of stablecoins they offer. In case an issuer collapses, stablecoin holders will be first in line to get their money back. The law redefines stablecoins outside the category of both securities and commodities, putting them under a new regulatory regime.

The CLARITY Act addresses how to distinguish a digital asset as a security or a commodity. This determines whether oversight falls to the Securities and Exchange Commission or the Commodity Futures Trading Commission. Proponents see this as long-overdue guidance after years of confusion, while critics argue the rules favor the crypto industry by allowing business models that bundle multiple roles—custodian, broker, exchange, and clearing agent—under one roof, raising concerns about conflicts of interest and weaker protections against insider trading and market manipulation compared to traditional financial markets.

The third bill, the Anti-CBDC Surveillance State Act, seeks to prohibit the U.S. Federal Reserve from issuing a digital currency, reflecting privacy concerns about government tracking of Americans’ transactions.

Supporters of these bills hail them as pivotal for making the U.S. a global leader in digital assets and spurring innovation. They argue that clear rules will attract builders and investors to develop the future digital economy on American soil. Detractors warn that the regulatory framework leaves loopholes, especially in secondary markets, and does not go far enough to prevent illicit finance or protect consumers the way traditional stock markets do.

As Congress works late into the night, the future of digital currency in the United States hangs in the balance. Policymakers must weigh innovation against risk, privacy against oversight, and global leadership against consumer safety in this evolving financial frontier.